Base metal prices traded higher. Aluminium edged higher above $2,020 and copper climbed towards 6,700. Nickel surged more than 3% to breach above 16,140, while lead, zinc and tin followed the uptrend.
The weekly DOE oil inventories report was fairly disappointing after showing an unexpected large build of 2.6 million barrels in crude stocks against expectations of 870,000 barrels drop. Gasoline inventories rose by 1.03 million barrels against analysts’ estimates of 509,000 barrels build, while distillate stocks fell sharply by 2.05 million barrels. Crude oil prices have been fairly volatile in today’s session with WTI front month futures heading towards $74 per barrel after hitting a today’s high at $75.06.
On the macroeconomic front, US housing data was fairly mixed as building permits rose by 4.8% in October beating expectations of 0.9%, while housing starts fell unexpectedly by 2.8% during the same period. The USD index climbed higher trading above 87.7 against a basket of currencies. Eurozone’s construction output declined by 1.8% in October, but the euro held around 1.255 against the US dollar.
European equity markets came under renewed pressure in today’s trading session, while the US equities remained in negative territory. The CAC, DAX, IBEX and London equity benchmark indices posted fresh losses between 0.15% and 0.8%.